An arbitrator's interim decision "points" to a rise in the annual charge payable to South Port by New Zealand Aluminium Smelters (NZAS) for provision of infrastructure at Tiwai Wharf at Bluff, the port company says.In 2008 NZAS, South Port's lar
An arbitrator's interim decision "points" to a rise in the annual charge payable to South Port by New Zealand Aluminium Smelters (NZAS) for provision of infrastructure at Tiwai Wharf at Bluff, the port company says.
In 2008 NZAS, South Port's largest customer by volume, renewed a licence agreement covering the Tiwai Wharf and associated port infrastructure for 35 years.
But the parties had been unable to agree on a charge for the provision of that infrastructure and reverted to a commercial arbitration process, South Port said today.
The arbitrator had made an interim decision that "points to an increase in the annual charge payable to South Port but the final contract position is yet to be determined", South Port said.
The interim decision would be the basis of further discussion between the parties. Failing agreement a final determination would be sought from the arbitrator, South Port said.
It was not possible to say with accuracy what impact the arbitrator's decision would have on future profitability.
